Veteran Umno leader Tengku Razaleigh Hamzah said he would explain to the people on the Kelantan oil royalty issue at a gathering in Kota Bahru soon.

tengku razaleigh.jpg "For the time being, I do not want to make further comments on the issue. Wait for the gathering where I had been invited to participate," he said when meeting Kampung Mercu Jaya residents today in Gua Musang, a parliament seat where he has served as the elected representative for three decades.

The federal government had announced that it would distribute compassionate aid to the people of Kelantan instead of paying oil royalties to the state starting next year as oil explorations are carried out three nautical km off the state waters.

In response, the Kelantan state government said it would file a suit to claim RM2 billion in royalties from oil that has been extracted in an offshore area bordering Thailand under the Petronas-state government agreement in 1974.

Razaleigh was Petronas chairman then.

Gathering organised by 51 NGOs

Razaleigh, who is also Gua Musang Umno division head, said the gathering would be organised by 51 NGOs and the date had yet to be fixed.

"The huge royalties could transform all districts and ensure continuous development in Kelantan.

"As such, I am ready to explain what the oil and gas agreement entailed and the royalties due," he said, adding many quarters had sought his views on the issue.

Last Saturday, Razaleigh touched on the issue in a scathing speech at the Young Corporate Malaysians Summit in Kuala Lumpur.

- Bernama